Seanad debates

Tuesday, 20 June 2006

European Communities (Amendment) Bill 2006: Second Stage (Resumed)

 

3:00 pm

Photo of Tony KilleenTony Killeen (Clare, Fianna Fail)

I thank Members for their contributions today and on Wednesday last. I am heartened to hear such broad support for the European Communities (Amendment) Bill 2006. As Members will know, Ireland has always been an enthusiastic participant in the European Union. We actively supported the fifth expansion of the Union and we look forward to its completion with the accession of Bulgaria and Romania.

It is interesting that Ireland held the Presidency on 1 May 2004 when the last ten countries acceded to the Union. I have been impressed by the level of goodwill towards Ireland which is evident among Ministers from those countries. To some extent, that goodwill arises from the fact Ireland held the Presidency at that time and did a particularly good job but also from the fact we shared our experience and expertise with them as we have done with Romania and Bulgaria. Undoubtedly, many benefits have flowed to them and to us arising from that.

As the Minister of State, Deputy Treacy, said last week, 17 countries have already ratified this treaty. It was dealt with in the Dáil on 24 May. The Commission's report of 16 May, which is the most recent one, commended both countries on the progress they have made and, as a number of Members mentioned, there are some outstanding problem areas which, hopefully, can be addressed before the accession date of 1 January 2007. Clearly, there is a possibility of having that date postponed if necessary.

Senator Brian Hayes referred to the level of trade between Ireland and Romania which, traditionally, would have been quite small — as low as €5 million per annum in 1992. It was well over 30 times that last year with a 75% increase in trade in 2005 over 2004. That is an extraordinary level of growth. Likewise, growth in that year of trade with Bulgaria was of the order of 11%. Clearly, there is considerable potential for growth in that area and for benefits for Ireland and the two accession states.

The movement of workers is a matter of concern to the Department of Enterprise, Trade and Employment. Ireland was one of three countries which allowed free access of workers from the ten accession states from the date of accession. The other two countries were Sweden and the UK. It is interesting that a recent Commission report found that the three countries enjoyed a considerably better employment performance than the 12 countries which had employment restrictions. I am glad to note that at least four of the other countries have now decided to allow full freedom of movement for people from the ten countries.

The Minister for Enterprise, Trade and Employment, Deputy Martin, introduced an amendment to the Employment Permits Bill with an enabling provision which has three options in regard to whether workers from Romania and Bulgaria will be allowed access to Ireland. The three options are as follows: free access, as has been provided for the other ten states; the grant of a permit on foot a job offer; or continuation of the present regime with a requirement for employment permits. As Senator Mansergh and others have said, a number of matters must be considered and the Government will make a decision later in the year, or at least in advance of the accession of the two countries, on how best to proceed. I welcome the comments of Senator Brian Hayes and Mansergh in that regard. We have the national interest to consider as well as other considerations and the Government will give very careful thought to the matter.

Another Commission paper worthy of mention is that which found that all member states benefited from the last enlargement. Many concerns have been expressed — for example, in regard to the ratification of the EU constitution and the difficulties which arose in France and the Netherlands. There were also difficulties in regard to the adoption of the budget. At that time Members will remember there were all types of dire warnings about the future of Europe. Thankfully, the difficulties in regard to the budget have been successfully resolved and I am sure the other matters will be resolved.

The recent Commission paper found that all member states benefited from the last enlargement, which is very encouraging. The stability helped to multiply trade and investment. It provided opportunities for companies in the existing states to expand into the other ones on a much more positive basis than many would have expected with many more benefits flowing to the host and the accession countries arising from that. It has led to a far stronger and more dynamic euro economy. In view of the challenges to the economy of Europe, not least from China and India and the traditional economic power blocs of Japan and the United States, it is very important the European economy is able to prosper and move forward in a very dynamic way. The dynamism which has flowed from the accession of the new states has been very encouraging and has benefited Europe enormously.

Undoubtedly, there are questions surrounding Commission membership and issues which have been dealt with in regard to membership of the European Parliament and decisions at Council of Ministers level which require ongoing examination to come up with a model that best serves the interests of the people of the European Union as a whole. That is something that must be dealt with over a slightly longer period. It must also be dealt with carefully and proactively. There will be substantial challenges to the economic well-being of the Union if we choose to stagnate and do not face up to the fact that there are considerable economic power blocks in other parts of the world. These are areas of the world where the pace of development is truly astonishing. We must match it and better it, if possible.

As Commissioner Rehn made clear last month, it is entirely feasible for Bulgaria and Romania to accede by 1 January. There is no doubt but that in the coming months both countries will intensify their efforts to make this a reality. Both countries will benefit from EU membership and will, in turn, make a positive contribution to the Union, as indeed Ireland has done for the past 33 years.

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